The relationship between nanostructure and properties in polysiloxane layered silicate nanocomposites is presented. Solvent uptake (swelling) in dispersed nanocomposites was dramatically decreased as compared to conventional composites, though intercalated nanocomposites and immiscible hybrids exhibited more conventional behavior. The swelling behavior is correlated to the amount of bound polymer (bound rubber) in the nanocomposites. Thermal analysis of the bound polymer chains showed an increase and broadening of the glass-transition temperature and loss of the crystallization transition. Both modulus and solvent uptake could be related to the amount of bound polymer formed in the system.